Samsung to Invest $22 Billion in AI and other Emerging Technologies

Samsung to Invest $22 Billion in AI and other Emerging Technologies
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Technological advancement has proven to be an inevitable part of the modern world. In fact, as years pass, more groundbreaking technologies continue to take shape and impact lives in terms of transportation, entertainment, finance, business, communication and other aspects.

With this in mind , leading technology companies appear to be trying to align themselves and their operations with the future, which now seems to head towards artificial intelligence among other technologies.

For instance, Samsung recently revealed its intentions to put in a whopping $22 billion into various growth areas such as 5G and more importantly artificial intelligence (AI) over the upcoming three years.

The planned investment by Samsung makes up a portion of the entire $161 billion investment plan, which comprises not only capital expenditure but also research and development. During the announcement, the South Korean technology giant said a considerable amount of that money would be spent in South Korea.

Samsung Group’s plan to invest approximately 25 trillion Korean won or $22 billion would be spearheaded mainly by Samsung Electronics. Also, as part of the investment, the tech giant said that it would raise the number of its researchers to 1,000 across all its global artificial intelligence(AI) centers including Russia, South Korea , the United States, the UK and Canada. This move intends to help the company in boosting its artificial intelligence capability.

According to Samsung’s announcement, the investment would be channeled into four main areas including fifth-generation mobile network (5G), artificial intelligence, bio-pharmaceuticals, and electronic components for future cars.

What’s more, the press release from Samsung revealed that the company expects innovations driven by artificial intelligence (AI) technology would help power the industry’s transformation.

On the other hand, it anticipates that the fifth generation 5G telecommunication technology would aid in creating new opportunities in robotics, the Internet of Things (IoT) and self-driving.

Currently, Samsung Electronics prides itself on being the largest smartphone-maker in the world. Other than that, the company has established a stellar reputation in the semiconductor business thanks to its supply of chips to various well-known companies such as Apple.

Overall, the technology giant based in South Korea said it intends to invest a staggering 180 trillion South Korean won, which is equivalent to 161 billion US dollars, in the course of the next three years.

The large investment will include capital expenditures and more importantly research and development in its displays and semiconductor business. Without revealing further breakdowns of the massive investment plan, Samsung emphasized that a huge allocation of the money, an estimated130 trillion South Korean won would all be spent in South Korea.

Over the next three years of the massive investment plan, Samsung said that it is looking forward to creating nearly 40,000 new job opportunities. In the previous week before the recent announcement , Samsung Electronics made public its slowest quarterly profit increment in over a year owed to a slowdown in the international smartphone market. Nevertheless, the company said that its chip business was still doing great.

Looking at the figures of the amount of money Samsung plans to put into new growth areas such as AI, it shows the company’s conviction in the importance and growth of such technology. Other companies can be expected to follow suit when it comes to making massive investments in AI.

Source CNBC

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[…] financing round from various companies including Alumni Ventures Group, Fenox Venture Capital, Samsung Ventures, Intage Open Innovation Fund, SBI Investment among […]